by KRISTIN LARMORE
Intern News Reporter

After gas prices soared this summer, consumers are now experiencing a significant ease on their wallet at the pump this November.
Carol J. Gifford, public relations manager of AAA Carolinas said the change for drivers has come in the past six to seven weeks, as prices have only increased since the beginning of 2008.

“They changed their driving habits,” she said. “It cut back pretty drastically on their driving practices.”

July 11 marked a record high at $4.11, but prices have gradually dropped ever since, according to CNN.com.

The average cost dropped 53 cents from $3.31 per gallon Oct. 10 to $2.78 per gallon Oct. 24, setting another record.

November has seen even lower numbers, with a total oil price drop of about 60 percent, Gifford said.

As of press time, gas in Boone currently as low as $2.05, but in some parts of the state it is under $2 per gallon.
Hess employee Brittany N. Trivette said customers wonder why the price varies from place to place, as the average is $1.89 in Spruce Pine and $1.99 in Lenoir.

Ray Kahn, owner of Citgo on the corner of Highway 421 and Highway 105, said prices down the mountain are lower because of transportation required to bring the gas further, especially with an 18-wheeler traveling up steep hills.

The decrease, a projection on the failing economy, is expected to affect holiday traveling this year.

“The sluggish economy has really put a damper on holiday travel,” Gifford explained. “We expect to see fewer people travelling over the holidays.”

Kahn said because most of the families in Boone do not have many miles to travel, tourists create a lot of business at gas stations.

Many leave to be with their own families for the holidays.

“In any other city, you would sell more gas. In Boone, you would sell less,” Kahn said.

 However, Gifford also mentioned the sudden price drop creates a chance more people might make travel plans at the last minute to take advantage of the price break.

The primary reason for the decrease is due to a lower demand for crude oil.

The Organization of Petroleum Exporting Countries (OPEC) announced Oct. 24 that November would see a production cut of 1.5 million barrels per day.

Airlines are being hit hard, as well.

Gifford said though many people buy their airline tickets in advance for the Thanksgiving holiday, “Prices were significantly higher than last year based, again, on [increased] gas prices.”

She said AAA expects fewer people to travel by air.

Though the flights will be full, there will be significantly fewer available.

“The airlines have already cut the number of flights by about 3,000,” she said. 

Interim Chair of Economics at Appalachian State University Larry V. Ellis said the price per barrel has dropped to about $55.

He explained though consumers are happy right now, lower prices over the long term will not create a strong economy.

Spending does increase when the price is lower, possibly prompting some to buy big vehicles without caution.

“If prices stay low for a while, we are [going to] go back to driving our gas guzzling SUVs,” he warned. “[And] here we are again. We haven’t done anything in exploring alternate energy sources.” 

Despite the break, Ellis said people should stay frugal.

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